For the Cupcakes:
1 cup all-purpose flour
1/2 teaspoon baking powder
1/2 teaspoon baking soda
1/4 teaspoon salt
1/4 cup canola oil
1 cup coconut milk
2/3 cup sugar
1 teaspoon vanilla extract
1 cup unsweetened shredded coconut (if only sweetened is available, just use less sugar)
For The Frosting:
3 tablespoons nonhydrogenated margarine at room temperature
2 tablespoons cup coconut milk
1/2 teaspoon vanilla extract
1 cup confectioners' sugar (powdered sugar)
1/2 cup unsweetened coconut
Bake the cupcakes:
Preheat oven to 350 F. Line a twelve-muffin tin with paper liners, set aside.
Sift together the flour, baking powder, baking soda, and salt. In a separate bowl combine the oil, coconut milk, sugar, and vanilla. Pour the dry ingredients into the wet and mix until smooth. Fold in 1 cup unsweetened coconut. Fill each muffin tin about 2/3 full. bake for 20 to 22 minuted; the cupcakes should be slightly browned around the edges and spring back when touched. Remove from the muffin tin and let cool.
Make the Frosting:
Cream the margarine until light and fluffy. Add the coconut milk and vanilla and combine. Sift in the confectioner's sugar and mix until smooth, about 5 minutes unless you're using an electric mixer. Add the unsweetened coconut and combine. Refrigerate until ready to use.
Frost when the cupcakes have completely cooled. You can sprinkle some unsweetened coconut or add a berry on top for decoration.